:00:00. > :00:00.Now for the latest financial news with Sally and World Business
:00:00. > :00:19.The US starts exporting gas with the first shipment fuelling up
:00:20. > :00:27.But with falling prices, how significant will it be for
:00:28. > :00:33.We talk to the billionaire entrepreneur, Elon Musk, about the
:00:34. > :00:41.He tells us Apple's move into the car industry is an open secret.
:00:42. > :01:00.Rico Hizon joins us from Singapore to update us on Chinese trading. It
:01:01. > :01:08.is a little bit,, you will be glad to hear. -- a little bit calmer, you
:01:09. > :01:09.will be glad to hear. It's a landmark day
:01:10. > :01:12.for gas production in the US because America becomes
:01:13. > :01:14.an international supplier today. But the celebrations
:01:15. > :01:15.could be short-lived. Like oil,
:01:16. > :01:17.the price of gas has fallen sharply and is now worth only a third
:01:18. > :01:21.of what it was just two years ago. So while the venture is less
:01:22. > :01:24.financially viable than when it was originally imagined in 2011,
:01:25. > :01:26.it is still hugely significant. Many estimates put the US
:01:27. > :01:29.as the third largest exporter in It's worth noting that we're talking
:01:30. > :01:34.about liquefied natural gas only, which is denser in a liquid than
:01:35. > :01:37.a gas form, but requires costly LNG once returned to a natural gas
:01:38. > :01:42.form can be used for almost anything from cooking, heating
:01:43. > :01:44.a home to powering a factory. With me is Cornelia Meyer from
:01:45. > :01:57.Meyer Resources. A very familiar face with this show.
:01:58. > :02:04.Nice to see you. How big a deal is it? It is initially small. It is a
:02:05. > :02:12.very small quantity. It is a big deal to see the US entering the
:02:13. > :02:18.field of LNG exporter. The big players are Australia and Qatar. We
:02:19. > :02:23.have had other entrants, such as Papua New Guinea. We will see
:02:24. > :02:31.countries like Algeria, Russia, potentially. More people are
:02:32. > :02:40.cramming into that space. America could do this with the shale
:02:41. > :02:46.revolution. Absolutely. Back in 2007 -2008 we were worried that in 2010
:02:47. > :02:49.they would import gas until the shale revolution. They are now
:02:50. > :02:55.producing more than they can consume. So, they can export. The
:02:56. > :03:04.energy information agency in the USA that I2040 they will be producing
:03:05. > :03:08.something like 36 trillion cubic feet of gas -- by 2040. They are
:03:09. > :03:14.only consuming about 27 trillion cubic feet. They have had room to
:03:15. > :03:22.export. America is a big consumer of gas. The fact that prices are lower
:03:23. > :03:25.is good for the American economy. Globally, with gas coming onto the
:03:26. > :03:30.market from America and other places like Mozambique and Papua New
:03:31. > :03:37.Guinea, is the price of gas a 1-way bet? No. The thing where LNG is
:03:38. > :03:42.different from others is it has to have long-term supply contracts. You
:03:43. > :03:50.finance LNG with a long-term contract. As the prices are falling,
:03:51. > :03:55.a lot of countries are waiting. Utilities are waiting to commit. Why
:03:56. > :04:02.would they commit when it could be lower in five months? Just quickly,
:04:03. > :04:07.a question about the oil price closing yesterday at a 12 year low
:04:08. > :04:11.and falling today. Your thoughts? It will get worse before it gets
:04:12. > :04:18.better. Everybody is just pumping whatever they can. As I say, in the
:04:19. > :04:23.long run we are all dead, but in the long run we are not investing
:04:24. > :04:29.enough. In three to ten years we might not be producing enough. It is
:04:30. > :04:35.not a light switch. We need to invest in future technology? In
:04:36. > :04:42.future resources. Oil sources have a finite life. You need to have it
:04:43. > :04:46.pumping. Lovely to see you. Back Monday to review the papers. See you
:04:47. > :04:49.then. We will look at the markets later. Let's focus on what is going
:04:50. > :04:50.on in China. China's markets are showing signs
:04:51. > :04:52.of stabilising And as trade opened this morning,
:04:53. > :05:06.the Chinese currency, the yuan, Nice to see you, Rico. What is
:05:07. > :05:15.happening today? The Chinese authorities are doing what they can
:05:16. > :05:20.to stabilise the Chinese yuan. They have injected a whopping $12 billion
:05:21. > :05:25.US. Apart from that, the central bank has set another firm fix on the
:05:26. > :05:29.yuan against the US dollar for a third time. The stock markets
:05:30. > :05:36.tumbled 10% last week and 5% on Monday. They have remained volatile.
:05:37. > :05:39.They have gone from black to read and back again. The People's Bank
:05:40. > :05:44.has stepped up its campaign to convince many sceptical investors
:05:45. > :05:52.that they are in control -- red. Analysts have said that offshore
:05:53. > :05:58.buying, led by the central bank, has dried up yuan liquidity. One dealer
:05:59. > :06:03.described this as in the nuclear weapon level. Authorities have
:06:04. > :06:08.indeed stoked concerns in markets that Beijing might be losing its
:06:09. > :06:13.grip on economic policy. We will have to wait and see. It may have a
:06:14. > :06:16.long-term effect on the markets. Thank you.
:06:17. > :06:19.In other news: Asia's richest man is buying US movie studio
:06:20. > :06:26.Wang Jianlin, the founder of China's Dalian Wanda Group, is paying 3$.5
:06:27. > :06:29.-- Wang Jianlin, the founder of China's Dalian Wanda Group, is
:06:30. > :06:31.paying $3.5 billion for the film company, which
:06:32. > :06:33.produced Jurassic World, Godzilla and the Dark Knight Batman trilogy.
:06:34. > :06:36.The tycoon said he aims to help China have a bigger say
:06:37. > :06:40.Irish drugmaker Shire has won its six-month battle to buy US firm
:06:41. > :06:48.The deal is worth $32 billion, and will put Shire in a strong
:06:49. > :06:51.position as it seeks to deepen its stake in rare disease treatments.
:06:52. > :06:52.Baxalta specialises in unusual blood conditions, cancers
:06:53. > :07:08.Now to a big name in the field of innovation.
:07:09. > :07:10.A man known for increasingly making futuristic ideas a reality.
:07:11. > :07:13.Elon Musk is Chief Executive of Tesla motors - a company that
:07:14. > :07:16.grabbed headlines after its all-electric sport luxury cars.
:07:17. > :07:18.His cars are also competing in the driverless space too.
:07:19. > :07:22.But he has other ventures as well - one is SpaceX - an aerospace
:07:23. > :07:25.company seeking not only to lower the cost of space travel but also
:07:26. > :07:32.His net worth is $12.4 billion, making him the 39th wealthiest
:07:33. > :07:35.Our technology correspondent Rory Cellan-Jones spoke to him
:07:36. > :07:37.exclusively and started by asking him, how common will
:07:38. > :08:05.All transport, except for rockets, will go fully electric. I see the
:08:06. > :08:12.value of Tesla as an accelerant in future. From an historical
:08:13. > :08:18.perspective, it may speed up the transition by a decade. Are you on
:08:19. > :08:26.the road to making a model more people can aspire to own? The third
:08:27. > :08:32.model is part of the strategy. It is a high-volume, low-cost car. We
:08:33. > :08:36.expect production of that next year. In order to have a substantial
:08:37. > :08:42.effect on transportation we have to make them affordable. The model
:08:43. > :08:48.three is extremely important as part of that strategy. Unless there is an
:08:49. > :08:51.affordable car, as you alluded to earlier, it will only have a small
:08:52. > :08:54.impact on the world. We need to make a car most people can afford in
:08:55. > :09:04.order to have a really substantial impact. Do you see Apple building a
:09:05. > :09:12.car and is being a threat to you? -- it. I would encourage more
:09:13. > :09:18.participation. From whoever it is to create electric vehicles. It is
:09:19. > :09:22.quite hard to do. Companies like Apple will probably make a
:09:23. > :09:27.compelling electric car. It seems like the obvious thing to do. Are
:09:28. > :09:34.you betting that will happen? Have you heard anything? It is hard to
:09:35. > :09:40.hide anything if you have hired 1000 engineers to do it. Apple is
:09:41. > :09:46.serious? Yes. It is an open secret. More from him on the website. A look
:09:47. > :09:50.at the Asian markets quickly. Japan is catching up today. It was closed
:09:51. > :09:57.yesterday for a public holiday. The price of oil is going down further
:09:58. > :10:00.to $30 a barrel. That is the close in Wall Street. And that is it for
:10:01. > :10:06.World Business Report. See you soon. Junior doctors in England will go on
:10:07. > :10:10.strike today for the first time in